Churchill quarter healthy as earnings rise

Churchill Downs Inc. had net earnings in the second quarter of 2009 of $30.8 million, a slight increase over net earnings of $29.4 million posted during the second quarter of last year, according to financial statements released by the company late on Wednesday.

Revenue during the quarter was $180.0 million, also a slight increase compared with revenue of $179.3 million in the second quarter of last year. The results for the quarter could be considered stronger than expected because of the recession's significant impacts on wagering handle across the United States.

Although three of Churchill's racetracks posted lower revenue for the quarter compared with the second quarter of last year, the company's online operation, Twinspires.com, had $20.8 million in revenue in the quarter, compared with $15.6 million in the second quarter last year, a 33 percent increase. In addition, Churchill's casino at its Fair Grounds racetrack in New Orleans had revenue of $15.4 million in the quarter, compared with $11.2 million last year.

In the quarter, Churchill Downs, the racetrack, had $88.4 million in revenue, compared with $93.7 million last year; Arlington Park near Chicago had revenue of $25.4 million, compared with $27.8 million last year; Calder Race Course in Florida had revenue of $19.5 million, up from $18.5 million last year; and Fair Grounds had revenue of $10.0 million, down from $11.8 million, according to the financial statements.